Future for renting stronger than you think
Zac Snelling Head of Property Management Ray White Group
From affordability debates to compliance crackdowns, the housing sector has weathered years of relentless scrutiny. So much so that many landlords feel as though they’ ve been swimming against the current, says Zac Snelling, Ray White Group Head of Property Management.
While these pressures are real, it’ s crucial not to be consumed by a narrative of negativity. The fundamentals of residential investment remain strong, and in several key areas, the outlook is brighter than it has ever been for landlords and tenants.
“ It’ s too easy to get bogged down in bad news stories. But, if you take a step back, you’ ll see that the sector has matured significantly. We now have a stronger rental market, better quality housing stock, and an evolving demographic that will continue to sustain demand for decades,” he says.
A BETTER STANDARD OF LIVING
The Healthy Homes Standards( HHS) have been one of the most consequential developments for New Zealand’ s rental sector in a generation. While some investors may have initially found the requirements burdensome, they have undoubtedly established a consistent baseline for quality, thereby elevating the quality of the nation’ s rental offerings.
“ Tenants are now enjoying a level of stability and quality that simply wasn’ t guaranteed before,” Snelling says.“ The standards have lifted the benchmark, and that’ s a win for everyone. Not only are homes warmer and drier, but the long-term health benefits – particularly for children – are undeniable.”
Evidence from the Healthy Homes Initiative supports this: for every dollar spent on improvements, there is an estimated five dollars in health savings over five years, largely due to fewer hospitalisations and reduced school absences from cold and damp-related illnesses. For landlords, this means reduced vacancy risk and properties that are more resilient against shifting regulatory expectations.
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